PEG Ratio
Updated 174h ago
Sector Performance
77th percentilePPL
2.40x
Sector Median
0.94x
Sector Avg
3.03x
Deep Analysis
The PEG ratio (price/earnings-to-growth) measures a stock’s price relative to its earnings growth rate; a ratio of 2.40x means the stock trades at 2.4 times its expected earnings growth, suggesting it may be overvalued compared to growth potential.
This is well above the sector median of 0.97x, placing PPL in the 77th percentile among peers, indicating a premium valuation. The metric has been increasing over the last eight quarters, though the year-over-year change is not available; quarter-over-quarter, it fell 8.4% from 2.62x to 2.40x. The combination of a high level (above sector median) with a long-term upward trend points to elevated valuation risk, though the recent quarterly decline could signal some moderation. This metric supports the overall NEUTRAL verdict, as the elevated PEG ratio contradicts a bullish stance, but the recent quarter’s drop prevents a bearish call.
Frequently Asked Questions
What does the PEG Ratio tell investors about PPL?
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
How is the PEG Ratio calculated?
PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.
Who are PPL's closest peers by PEG Ratio?
The closest peers by PEG Ratio include: NUE (0.06x), VLO (0.06x), NKE (0.05x), NCLH (0.05x), MKTX (0.05x).
The Formula
P/E Ratio / EPS Growth Rate
Why It Matters
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
Master PPL's Valuation
Get the complete institutional research report covering all fundamental and technical metrics.
View full PPL research report →PPL
2.40x
Sector Median
0.94x
Sector Avg
3.03x
How PPL's PEG Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.